Lip On Rib Eye Steak, NAMP 1112A, is derived from the Lip On Rib Eye Roll, NAMP 112A, by cutting it into Steaks.
The “Lip” is a bit of muscle (Serratus dorsalis & Longissimus costarum) and related intermuscular fat from the bottom of the Rib closer to the Plate Primal Cut. The Lip itself is not fabulous eating, though it can be palatable and it can be trimmed off or left on. When purchasing, a Lip-On cut the price per pound paid for the steak should be less than for a Lip-Off steak because you are buying a significant amount of fat as well as steak.
The Lip can offer some flavor and protection to the cooking meat, but this particular cut already has significant Marbling and should remain moist during cooking in most cases. A Lip-On Ribeye Steak can be Sautéed, Grilled, or Pan Broiled.